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Chapter 1 Unit II questions

For Chapter 1 Unit II questions Click Nature & Scope of Business Economics
QUESTION
Q13) Which of the following is not a subject matter of Micro-economies?

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Solution:
Microeconomics is the study of individuals, households and firms’ behavior in decision-making and allocation of resources.
It focuses on the market demand and supply, price determination, consumer behavior, production theory, cost analysis, and factor pricing.
Therefore, the subject matter of microeconomics does not include the national economy’s annual rate of growth.
Therefore, the answer is (d) The national economy’s annual rate of growth.
Correct option is (d)